![]() "That sentiment means duopolies are more common and whilst there will be significant disruption Aussies will undoubtedly back a local player alongside Amazon. We are a market more similar to Canada and in that space Amazon's market share has not quite dominated (sales at about $2.4bn CAD as of last year, total retail market in Canada is about $25bn). "Amazon should take note of the Australian consumer sentiment which is different to that of the UK. Higher delivery costs, sourcing and storage costs also mean that the cost base of a small, local player is going to be astronomical compared to Amazon and this is where there is significant opportunity to improve. "It's evident that when it comes to cost-effective delivery solutions, SMBs in the Australian market are under-served which puts them at a competitive disadvantage. "It remains to be seen however whether Australia will follow in the steps of the US where 52% of all product searches now start on Amazon (beating Google) or Canada where it has made a decent but conservative impact It's a great sign for Aussie consumers and for boosting local online sales. "Amazon will be operating with a cost base not seen by any other retailer before and its important that Aussie retailers, particularly those with brick and mortar stores, start making changes now to compete effectively upon their arrival. We are helping our retailers lower costs and save time, thereby enabling them to compete more effectively with larger players. "The thousands of retailers we work with already understand the importance of the customer experience during the delivery process. ![]() Hango-Zada said: "We're are excited by the announcement of Amazon's impending entry as logistics players and retailers alike will now have no choice but to focus on customer centricity or perish. So, with all the recent retailer worry about Amazon coming in and supposedly stealing all their business, I asked Shippit's co-founder and director, Robert Hango-Zada, about his thoughts on Amazon's impending arrival. Here's Shippit's corporate video – the article and more continues below. So, on top of ALL of that, Shippit currently services over 750 merchants including Sephora, Topshop, Thankyou, Pet Circle, and ships over 250,000 parcels via its platform each month – and it surely makes us all reading wonder we all didn't have the smarts to come up with this kind of company!! The company even secured a solid A$2.2 million in Series A funding back in May this year, which is driving the company’s expansion into APAC within the next 12 months and scale its growth.Ĭlearly, the South East Asian market "presents a lucrative opportunity for the business as one of the world's fastest-growing regions for e-commerce revenue, poised to be worth US$25 billion by 2020 (according to Frost and Sullivan)", so it's clear why Shippit would like to ship its business model into the region and help ensure its own smooth delivery. Shippit’s software and delivery services are also ship-shape, and "are trusted by retailers of all sizes and formats and is seeing an increasing demand from international retailers".Īs you'd expect, Shippit's software has to be up to the task to manage all of this, and "seamlessly connects retailers to leading logistics carriers, selecting the best carrier for every shipment and allows shoppers to track deliveries in real time".Īnd, not only did Shippit secure that aforementioned milestone partnership with Australia Post in March 2016, it is also "a trusted partner of CouriersPlease, Fastway, TNT, DHL, Bonds Express and many others". That has now morphed into powering the delivery for "thousands of retailers across Australia, servicing hundreds of thousands of deliveries each month". Other snippets of Shippit success include a major deal with Harvey Norman last year, and just last month, a big deal with Big Commerce.Īll of that came from those humble 2015 beginnings, where Shippit originally worked with but a handful of fashion and homeware boutiques in Sydney’s Surry Hills. Not only has it since done a deal with Australia Post, giving Shippit "access to over 11,000 delivery vehicles Australia-wide – making it one of Australia’s largest delivery platforms". Now, it's clear that, since 2015, Shippit has come a long, long way. ![]() Of course, Peter and Simon are but fictional characters in this situation, but play along, we get to have more fun at the end of this article.
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